International Shipholding Corporation Announces Commencement of
Common Stock Offering

November 12, 2012 08:00 AM Eastern Standard Time

MOBILE, Ala.--(BUSINESS WIRE)--International Shipholding Corporation (NYSE: ISH) today announced that
it intends, subject to market conditions, to offer and sell up to
$40,000,000 of its common shares in an underwritten public offering. ISH
further intends to grant the underwriters a 30-day option to purchase
additional shares of its common shares to cover over-allotments, if any.
The actual amount of shares sold will depend on market conditions.

ISH intends to use the net proceeds from the offering for general
corporate purposes including, but not limited to, using a portion of
such net proceeds in connection with its pending acquisition of U.S.
United Ocean Services, LLC (“UOS”). However, ISH currently expects to
fund the UOS acquisition price and related transaction expenses through
alternative financing sources.

The underwriters for the offering are BB&T Capital Markets, a division
of Scott & Stringfellow, LLC, and DNB Markets, Inc. The offering is
being made under ISH’s shelf registration statement filed with the
Securities and Exchange Commission on October 27, 2010. This press
release is neither an offer to sell nor a solicitation of an offer to
buy any securities and shall not constitute an offer, solicitation or
sale in any jurisdiction in which such offer, solicitation or sale would
be unlawful. Any offers of the shares of common stock described in this
press release will be made exclusively by means of a prospectus
supplement and an accompanying prospectus.

International Shipholding Corporation, through its subsidiaries,
operates a diversified fleet of U.S. and international flag vessels that
provide worldwide and domestic maritime transportation services to
commercial and governmental customers primarily under medium to
long-term charters and contracts.

Except for the historical and factual information contained herein, the
matters set forth in this release, including statements regarding the
terms of the offering, the anticipated use of the proceeds therefrom and
other statements identified by words such as “expects,” “will,”
“intends,” and similar expressions are forward-looking statements within
the meaning of the “safe harbor” provisions of the Private Securities
Litigation Reform Act of 1995. These forward-looking statements are
subject to a number of risks and uncertainties that may cause actual
events and results to differ materially from those anticipated,
estimated or projected if one or more of these risks or uncertainties
materialize, or if underlying assumptions prove incorrect. Factors that
could affect actual results include but are not limited to: prevailing
market conditions in the U.S. and overseas; the possibility that
investors will not be receptive to our offering on the terms described
above or at all; our ability to finance and consummate our pending
acquisition of UOS; corporate developments that could preclude, impair
or delay the offering due to restrictions under the federal securities
laws; changes in our financing plans, cash requirements or financial
position; changes in general market, economic, regulatory or industry
conditions that impact our ability or willingness to consummate the
offering on the terms described above or at all; and other risks
referenced from time to time in our filings with the Securities and
Exchange Commission. ISH has not yet entered into a definitive agreement
with respect to the offering, and, due to the above-listed
uncertainties, there can be no assurances that the above-described
transactions will be consummated on the terms described above or at all.
You should be aware that new factors may emerge from time to time and it
is not possible for us to identify all such factors, nor can we predict
the impact of each such factor on our plans, or the extent to which any
one or more factors may cause actual results to differ from those
reflected in any of our forward-looking statements. Accordingly, you are
cautioned not to place undue reliance upon any of our forward-looking
statements, which speak only as of the date made. We undertake no
obligation to update or revise for any reason any forward-looking
statements made by us or on our behalf, whether as a result of new
information, future events or developments, changed circumstances or
otherwise.